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Making an offer on a domain

I'm trying to buy a domain from another individual. I'm wondering if there are any tools that I can use to help me value a domain name before I make an offer. I own a domain that is similar to the one that the individual owns. It looks as if they have not done anything with the domain so I don't want to overvalue what it may be worth to them. They have responded to my emails letting me know that the domain is available.

I have a feeling that they may overvalue the domain. I have been keeping an eye on it for about a year now and all that is up on the site is a home page that says "coming soon!" with 3 or 4 broken links.

The domain was offered to me about 6 months ago but I decided to wait and see if they would let it expire since that was coming up. I think whomever the original owner of the domain was sold it to the individual that they contracted to do the front end web design.

My rule of thumb has been always to evaluate a domain's worth equal to the amount of profit you expect to earn from it during the first year. Request their Analytics data on existing organic search volume and potential backlinks before making an offer.

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